OakNorth completes £20m deal to support care group acquisitions

Business bank OakNorth Bank has announced it has completed a £20m transaction to support a care group with the acquisition of new homes.

The firm has provided the multi-million pound debt finance package to LV Care Group to support its expansion across Jersey and the Isle of Man.

LV Care Group, which specialises in home care, dementia care, mental health, wellbeing care, nursing and residential accommodation, will acquire the Jeanne Jugan Residence in Jersey and Kings Reach Nursing Home in the Isle of Man with the funding.

In addition, the group plans to refinance its three existing homes in Jersey: Lavender Villa, Cheval Roc and Rosemary Cottage.

Stuart Blair, debt finance director at OakNorth Bank, explained: “Nick and Chris have built an impressive business with a stellar reputation and we’re thrilled that our first deal with an operational business in Jersey is with them.

“They bring a premium approach to care just as we aim to do with lending, with both parties understanding that there’s no such thing as a one size fits all approach.

“We look forward to working with LV Care Group on future transactions, as we look to reinforce our own appetite to support the UK care sector throughout 2020.”

Nick Bettany, CEO & Co-founder of LV Care Group, added: “Jersey and the Isle of Man have an ageing population, with those aged 65 and over set to almost double in the next 20 years.

A substantial minority of this age group will need some form of residential care which can only be provided in a care home or hospital, emphasising the importance of our offering, which benefits heavily from our local knowledge.

“After looking at different funding options, we chose OakNorth Bank as Stuart and his team showed a high level of understanding towards the local care home industry, as well as a willingness to design a package that was tailored to our specific needs.”